A Commentary On “Rhode Island Law a Boon For Bondholders”
The bondholders should be first in line because when someone went to work for the public they received 3 things:
1) income,
2) benefits advice while they worked,
3) a pension benefit after their working years (which is more than a lot of what the private sector got).
As a result they pretty much got everything they were promised. Making the argument that a promise should be kept is in fact being done because they were provided income and benefits during the working years. Now we face what everyone in the financial world knew would be judgment day, and if a haircut or standing second in line is necessary so be it. They still got a substantial portion of what they were promised.
So the question really is, how was it that they got all of their benefits while working and continued to receive something during there retirement years? Answer, the bondholders.
So before people start complaining about the supposed unfairness, the fact remains that without the bondholder they would never have gotten anything at all; no salary, no benefits, and certainly no pension.
